Acquirers valuing tech and moats pay higher multiples than cash-flow buyers
Mark Givko · How to Build a Profitable SaaS in 6 Months and Sell it in 5 Days · Sep 25, 2024 · at 14:41
Mark Givko discusses valuation dynamics for micro-SaaS startups with Acquire.com founder Andrew Gazdecki.
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“Multiples are very subjective, so A person who's only interested in your business as a cash cow is going to buy for potentially less or three or two point something to three X your ARR and recurring revenue. But someone who's interested more in your tech stack or some other mode you have built around your product, maybe your branding they could potentially buy for a lot more higher multiples.”
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